This daily chart highlights a potential trend reversal following the significant 1-2-3-4-5 impulse decline observed throughout late 2024 and 2025. The completion of this 5-wave sequence at the $49.40 low appears to have set the stage for a major corrective recovery or the start of a new bullish cycle. We are currently tracking an ABC zig-zag structure, with Wave 'b' recently finding support near the $80 level, aligning with the bottom of the descending parallel channel.
Key Technical Levels:
* Wave 'C' Target: The immediate focus is the 1.0 Fibonacci extension at $168.82, which represents an equal-leg move (a=c).
* Long-Term Extensions: If the recovery develops into a larger impulsive move, the 1.618 extensions at $202.67 and $231.52 serve as secondary targets.
* Invalidation: A breakdown below the recent pivot at point 'b' (approx. $75-$80) would delay the bullish outlook and suggest further consolidation within the channel.
Projected Outlook:
The price action is currently reacting to the median line of the descending channel. A sustained breakout above the $100-$110 resistance zone would confirm the Wave 'c' trajectory toward the May 2026 target window. This setup offers a favorable risk/reward ratio for those looking to play the recovery of a quality growth stock that was heavily oversold in 2025.
Key Technical Levels:
* Wave 'C' Target: The immediate focus is the 1.0 Fibonacci extension at $168.82, which represents an equal-leg move (a=c).
* Long-Term Extensions: If the recovery develops into a larger impulsive move, the 1.618 extensions at $202.67 and $231.52 serve as secondary targets.
* Invalidation: A breakdown below the recent pivot at point 'b' (approx. $75-$80) would delay the bullish outlook and suggest further consolidation within the channel.
Projected Outlook:
The price action is currently reacting to the median line of the descending channel. A sustained breakout above the $100-$110 resistance zone would confirm the Wave 'c' trajectory toward the May 2026 target window. This setup offers a favorable risk/reward ratio for those looking to play the recovery of a quality growth stock that was heavily oversold in 2025.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.